The Age of America is Over — So Says the IMF

Today the Swiss franc made yet another new high against the super dollar, as it has been doing for 120 days. What you are reading in the graphs is less and less of the foreign currency that one dollar can buy. Of course, gold and silver also consistently hit new highs.

Swiss franc:

As did the Australian dollar:

British pound:

Danish krone:

Russian ruble:

Swedish krona:

Botswana pula:

European euro (despite the “sovereign debt crisis,” a product of naive European trust in Americans and the criminality of Goldman Sachs and all of Wall Street):

Other currencies, such as the Brazilian real and Canadian dollar, have been consistently making new highs against the US dollar but failed by a few hundredths of a percent to do so today.

Canadian dollar:

Ben Bernanke says QE will end in June, but he is either delusional or lying. If the Fed stops monetizing Treasury debt, how will the $1.5-trillion-dollar annual operating deficit of the US government be financed? Are Americans, who are broke, suffering 22% unemployment, foreclosures on their homes and running out of money before the end of the month, as Wal-Mart’s CEO recently stated, going to finance a 1.5-trillion annual government deficit? If you think so, I have a bridge to sell in Brooklyn.

The combined trade surpluses of China, OPEC, Japan and Russia are insufficient to finance more than one-third of the US budget deficit, assuming these countries are willing, in the face of the evidence, to continue to acquire US debt.

That means, even under the most optimistic scenario, that the Federal Reserve will have to purchase annually $1-trillion in Treasury debt.

In other words, the US, the great Super Power over-filled with hubris, has outdone the fiscal irresponsibility of third-world banana republics. Superpower America is financing itself by printing money.

Washington, by conducting open-ended wars of aggression against non-puppet states, by giving its approval to the off-shoring of US jobs and thereby US GDP, and by saddling bankrupt taxpayers with $1-trillion in non-recourse loans to mega-rich people in order that the richest and most favored could borrow from the Fed at nearly zero rates of interest hundreds of millions of dollars to buy under-valued student loans, credit card debt, mortgages, whatever, and have any profits from the purchase of under-valued assets put in their bank account and any losses put on the Federal Reserve’s books. Obviously, the US economy is a scheme run by the rich for the rich.

In this scheme to impoverish Americans for the benefit of the mega-rich, the Federal reserve actually gave hundreds of millions of dollars to the wives of New York investment bank CEOs in non-resource loans. The already rich wives bought up under-valued debt and made a killing. The wives had no risk whatsoever, because if their investments failed, it went onto the Federal Reserve’s books, not on the wives’ entity. See Matt Taibbi’s The Real Housewives of Wall Street in Rolling Stone magazine.

As the International Monetary Fund said, recently, “the age of America is over.”

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3 Responses to The Age of America is Over — So Says the IMF

There is an obvious flaw in the state capitalist system: the most selfish, greedy, ruthless and sociopathic rise to the top, and gobble up everything within reach regardless of cost to the country’s economic solvency nor its very future; indeed, they deliberately plunder the country’s future because it’s in this type’s greedy and insatiable nature to destroy in order to serve themselves.

The rise of the war-profiteering complex, the government unions complex, the Israel lobby and the thieving Wall Street class, all of which have used the state to grease the skids on all of this, is merely symptomatic of this ilk’s rise to the top.

But this is also a social and political judgment on the incredibly narcissistic Cheney-Bush-Clinton generations, who’s utter incompetence, selfishness, egoism, stupidity and warmongering got us into this mess in record time.

Despite all of this, I see know evidence of the Political Class either taking responsibility for this mess or reforming its evil ways. It’s clear that they intend to plunder until the country falls to pieces and the people are jobless, homeless, and starving in the streets.

To the point that Mr. Bernanke’s holding that QEII will end in June makes him delusional or a liar, nothing else could be expected from the Fed chairman. Yet, in fact, asserting a strong dollar policy numerous instances during his recent press conference, Ben Bernanke reveals that the dollar will continue to lose value. Such rhetoric is all he has instead of taking action to actually strengthening the US currency. In the past, the more a central banker insistently defends a currency by word rather than deed, the less true and believable.

As Mr. Roberts demonstrates, the dollar devaluation is long standing. The more Bernanke issues denials of further devaluation (although never called this) the stronger one should expect the opposite. It’s the currency crisis stupid, which compels every central banker to deny any intention to devalue. Honestspeak would encourage a currency run that takes the situation out of bankers’ hands. Every deception and tactic directly and by the parties with their own money to be lost, must be marshaled to keep that from happening.

In the end, one is reminded that the Fed’s central mission, first and foremost is in service to their clients – to US banks.

lets free america,,lock up every democrat and any body that sounds like one and all libral republicens,those people that cant speak english and are in our country illegallywill be sent home..we will import nothing,if we cant build it hear we dont need it no welfare except for those that really cant work,,blacks and whites alike..no laber unions allowed.